Matt Reustle, CEO of Colossus, a business-focused podcasting network, discusses why podcasts excel at nuance and the challenges of subscriptions in the podcasting industry. They also explore the value of unscripted conversations and the personal connection listeners can feel towards hosts. The podcast delves into the difficulties of tracking brand advertising and measuring its performance, as well as the challenges and opportunities in podcast advertising. It discusses diversifying revenue streams, the influence of podcasts, and the growing trend of athlete media.
Podcasting provides a platform for nuanced conversations and constructive discussions that are lacking in other forms of media.
While podcast subscriptions are not widespread yet, podcasters can find value in alternative opportunities such as speaking engagements and consulting.
Deep dives
Differentiating podcast formats
There are different types of podcast formats, including talk radio-style shows, narrative podcasts, and interview-style shows. The talk radio format is often more popular because it fits well with the medium and the listeners' habits. Podcasts are often consumed as ambient media, allowing listeners to multitask while listening. The narrative podcast format gained popularity with the success of shows like "Serial." However, highly produced narrative podcasts are costly and challenging to sustain as a business model. The interview-style shows can attract a wide audience by featuring different guests each time. These shows rely on the guest's audience and can help build a podcast over time. Overall, creating a balance of engaging content and providing value to the audience is crucial for the success of any podcast format.
The challenges of subscription-based podcasts
Subscriptions have not taken off extensively in podcasting. Many podcasters have attempted to implement subscriptions, but often struggle to persuade listeners to pay for content that is available elsewhere for free. Building a podcast audience with a paywall can be challenging and time-consuming. However, over time, more podcast businesses may transition to a subscription model, but it requires having an already established audience. Additionally, some podcasters find value outside of ad dollars, such as personal connections, speaking engagements, consulting opportunities, or investments. These opportunities can often outweigh the financial benefits of advertising for many podcasters.
The influence and trust in podcasting
Podcasts have become influential mediums with a deep level of trust and engagement. Listeners tend to form a connection with podcast hosts and often trust their recommendations and opinions. This trust and influence can extend beyond the podcast itself, leading to speaking engagements, consulting opportunities, and other business partnerships. Podcast hosts with a loyal and engaged audience are seen as subject matter experts, and their endorsement of products or services carries significant weight. This influence and trust attract listeners and potential business partnerships, highlighting the value of podcasting as a medium.
The trends and challenges in video podcasting
Video podcasting has gained attention, primarily for its potential to increase discoverability and generate revenue from platforms like YouTube. However, the costs associated with video production can be significantly higher than audio-focused podcasting. Many podcasters have raised concerns about the return on investment, as producing high-quality video content can require more resources and expertise. While some podcasters explore video podcasting by repurposing audio content on platforms like YouTube, others create video-specific content to fully leverage the medium's advantages. The success of video podcasting depends on finding a strategic approach and considering the economics and audience preferences for video formats.
Matt Reustle, CEO of Colossus, a business-focused podcasting network that’s home to Invest Like the Best, Business Breakdowns and Founders, sees podcasting as an antidote to many of the ills of algorithmic media.
“To me, it's the highest trust media. I think everything else now lacks nuance. And I actually still care about nuance. There are shorter attention spans, which I completely understand. Where do you actually get time to hear someone talk about opinions that aren't scripted? Is it proper back and forth conversation, not just a bunch of us talking at one another on Twitter and replies aren't really constructive conversation?”
We spoke about why podcasts excel at nuance, the business models underpinning the business, and why subscriptions haven’t yet become as widespread in podcasts as other digital media formats.
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